SpaceX and Tesla share price rebounds, Musk returns to $1 trillion

On October 6, Elon Musk, the world's richest man, broke through trillions of dollars again three months later.

Musk's fortune rose by $65 billion to $1.04 trillion on Monday, according to the Bloomberg Billionaire Index, helped by a rebound in the value of his holdings in SpaceX and Tesla.

Since October, SpaceX shares are up 13% and Tesla is up 6.7%.

SpaceX's share price surged after its IPO in June, making Musk the world's first trillionaire, but he quickly lost the title as investors worried about the company's overvaluation and the subsequent drop in its share price.

As of late July, Musk's wealth had shrunk by more than $600 billion from its peak, more than any other person on Bloomberg's list of the world's 500 richest people.

The latest round of wealth growth stems from renewed market sentiment towards SpaceX and Tesla.

Morgan Stanley analysts said Monday that SpaceX is one of the investment targets to capture the huge growth potential in space and artificial intelligence at a lower cost.

Shares of the company, which spans space, artificial intelligence and social media, have rebounded 58% from their August lows.

Tesla also reported better-than-expected third-quarter sales last week.

Musk's stakes in SpaceX and Tesla together account for more than 98% of his net worth, according to the Bloomberg Billionaires Index.